At the same time, service on Miami-Buenos Aires will become daily. It is great to see AR maximize aircraft usage and operate Miami-Sao Paulo during the day. AR will have full traffic rights on the route. Rather than parking their plane at MIA all day, they will be able to earn revenue by sending it to Sao Paulo, a route which has seen fares soar lately.

This winter, in addition to Aerolineas Argentinas new service, American Airlines will offer four daily flights between Miami and Sao Paulo, TAM will offer two daily flights, and Varig will offer one.

Miami-Buenos AIires will grow to 12x weekly service which is pretty good in order to offer more options. But i doubt AR will be in condition to fight against JJ (a wide range of connections) or AA (an established huge base of customers, and a noon convenient departure). AR product on A313 is not so good as JJ or AA ! They will need to run low fares in order to attract some traffic which could be good for competition, but terrible for yields.

Also, they will run 2 EZE-GRU within 5 minutes as well as 2 GRU-EZE within 30 minutes in a very crowded route where G3 just decided to drop 2 daily flights, and LH is looking for the end of the tag GRU-EZE (with an EZE-FRA service)

I agree with AF086 that the best decision should be establish a new base in Northeast, or even a stop in Brasilia.

I disagree that it is a bad move. This is an aircraft that would otherwise be parked on the ground all day at MIA, and it is wise to send it somewhere to make money. Is Sao Paulo the best choice? It would be nice to have seen them do something more creative, but it is the safest choice. They aren't going for the business travelers here, those are flying the redeyes. They are going for the tourist traffic, and will, without a doubt, offer the cheapest fares on the route. Plus, they will carry a lot of through traffic to Buenos Aires.

Absolutely. It least the plane isn't sitting ALL day. That is the problem to the conosur area, having those planes sit all day either here or down there. Look at what LA have done to avoid this, now they are a monster in MIA with all those daily morning departures to the south. I'm loving all the new daylights to South America.

BTW, I'm assumng that as it is a thru flight, no VISAs would be required, unlike the US

Quoting AF086 (Reply 1):Very bad move. AR is going to fight against AA with a billion connections at MIA, with JJ with a billion connections at GRU and will fly an aircraft with a less confortable interior.

I totally disgree that its a AR bad move. I think that is an good options to optimize de use of its fleet using also its 5th freedom right at Sao Paulo. In the second place Aerolíneas Argentina will going for tourist traffic between Brazil and Argentina also with the high demand from Argentina to Miami. This flight is an alternative to resume its daily and traditional flight from Buenos Aires to Miami.

Maybe in the future Aerolineas can resume its daily non stop flight to MIA when the company receive its 5th A340 (A340-300) and maybe the second A343 in the near future.

Quoting AF086 (Reply 1):Very bad move. AR is going to fight against AA with a billion connections at MIA, with JJ with a billion connections at GRU and will fly an aircraft with a less confortable interior.

Most pax care about price. And currently prices are very high on MIA-GRU.
So, I think it is a good move.

Quoting AF086 (Reply 1):Very bad move. AR is going to fight against AA with a billion connections at MIA, with JJ with a billion connections at GRU and will fly an aircraft with a less comfortable interior.

Quoting USADreamliner (Reply 13):Most pax care about price. And currently prices are very high on MIA-GRU.
So, I think it is a good move.

If it is cheap people will buy it and fly it.

If it is awful they will complain.

If it is still cheap they will probably buy it again next time.

AA and JJ will match the lower fares.

AJMIA

PS: I am not saying AR is awful. I have never flown them personally. I'm just pointing out that price is king.

True to form AJ.
There are many people that will live through a bad experience so long as they save a few $$$. We welcome the competition. More so since RG left a huge void to be filled.

Some one had explained to me why the 744 was up for lease. It seems that there is still some time left before the contract between AR and Pegasus runs out. However, since nothing is official that AR will extend for a few more years, they need to place it on "offer" well before the contract runs out, otherwise they will be left with an empty aircraft. Get my drift?
Either way unless AR get more "long haul" aircraft, I think that the lease agreement will continue!

A big problem is consistency with the airline. They start a route, then after a while they drop. Unlike other airlines they are constantly changing schedules.

They have tremendous delays and is not reliable. I wanted to fly again, but last year they left me 12 hours delayed in Madrid with overall chaos. Domestic flights are apparently suffering from this situation too.

Sao Paulo has the most wealth, generates the most tourists and business travel in Brazil by far. Not a doubt, the best choice.

Quoting MAH4546 (Reply 3):They aren't going for the business travelers here, those are flying the redeyes.

However, when most flights are booked up, business travelers pick what fits their schedule even if it is with a carrier that they don't fly regularly. Aerolineas will get its share of the business market too. The early Miami departure allows for some domestic connections beyond Sao Paulo that the JJ morning Miami departure does not allow for.

Quoting Incitatus (Reply 18):Sao Paulo has the most wealth, generates the most tourists and business travel in Brazil by far. Not a doubt, the best choice.

But if they flew to CNF, for example, they could work closely with agents and guarantee better fares, since they would be the only nonstop carrier to USA and Argentina all at once. Don't tell me that BHZ doesn't have premium passengers to fill a A310 in J/C class! Not to mention Y!!!

Quoting C010T3 (Reply 20):But if they flew to CNF, for example, they could work closely with agents and guarantee better fares, since they would be the only nonstop carrier to USA and Argentina all at once. Don't tell me that BHZ doesn't have premium passengers to fill a A310 in J/C class! Not to mention Y!!!

I would like to agree, but... Aerolineas would be serving CNF-MIA only and that would not be enough to sustain the flight. Much CNF traffic to the USA would still schlep to GRU and GIG to get on TAM or on the US carriers. The only way for Aerolineas to make it work would be to have very attractive interline fares through MIA and possibly that would chip away too much revenue.

There is also the fact that were Aerolineas to set up operations at CNF, it would have to hire or contract services there. If the operation were to become unprofitable, there would be exit costs - like ending contracts early and laying off people. GRU on the other hand is already an Aerolineas served airport with multiple daily flights so the additional service may be worked with little headcount or contract adjustments. That is why somebody else mentioned the GRU stop is lower risk. Maybe if GRU-MIA worked for them they'd become adventurous in the future.

I think almost all USA-Brazil service besides GRU/GIG needs to be on a US carrier, anchored in a strong, well-located US hub to capture most of the traffic to the US and some beyond. Now that TAM cut American loose, maybe American will try to line up the stars, including pushing governors and mayors to lobby ANAC on its behalf.

Quoting Incitatus (Reply 22):That is why somebody else mentioned the GRU stop is lower risk. Maybe if GRU-MIA worked for them they'd become adventurous in the future.

Now, I agree with you, but perhaps that can be their mistake, since many people from BHZ will travel to Argentina this winter with current exchange rates and maybe that could be an investment rather than an adventure. AR is in a difficult position right now, surrounded by LA, JJ and G3+RG. They will need new markets. Are they going to take risks when the market is expanding or just when it cools down? I'm not saying they're commiting a mistake by choosing GRU, but I think that shows that they're not planning to stay on the route that long. It can surely make sense today, but in a few months when something better comes along, they're out.

Quoting AF022 (Reply 21):CNF has been tried before but it never worked. Zero connection opportunities at CNF.

There is no need for connections at CNF on a CNF-MIA flight. BHZ Metro can handle it.